28.08.2025
New sources of financing, examples of cooperation, and a strategy for the winter.
Restoring the energy sector is no longer just an infrastructure task. It is a matter of resilience, security, and trust in the state.
Following the attacks on thermal power plants and grids, the reconstruction of the energy system has become a priority for both the government and the business community. Several solutions are currently being implemented simultaneously, forming a new system of support for the industry—from direct state investments to bank lending and international technical assistance.
In June, the government allocated over UAH 700 million for 35 facilities that are critical for surviving the winter in the affected communities.
This includes:
The largest share of the funds was directed to the Kharkiv, Zaporizhzhia, and Sumy regions. These are territories with the highest risk of repeated attacks and the lowest reserve capacity.
The new facilities are intended to reduce dependence on centralized grids and guarantee energy supply, at least during critical hours.
A year ago, in June 2024, the National Bank of Ukraine made a decision to facilitate lending for projects aimed at rebuilding energy infrastructure. Specifically, it involved a 1.5-fold increase in the banks’ loan portfolio for these purposes.
Over the past year, banks have issued UAH 25 billion for energy projects, with 90% of the loans going to businesses.
In June 2025, a record volume of “energy” lending was recorded: UAH 5.5 billion in new loans.
In total, financing was provided for:
Overall, bank financing has been attracted for projects in 21 regions of Ukraine.
The NBU and the government have adapted risk management rules to make such loans attractive to banks. The sector has been recognized as a priority in the Lending Development Strategy, and the regulator promises to maintain its support.
In June, Odesa received six new cogeneration units. This was the result of a joint effort by international donors and local authorities. The project was financed by the governments of Sweden, Norway, and Japan. Overall coordination was carried out by the UNDP as part of the Green Energy Recovery Programme.
Some of the units are already in operation, while the rest are in transit.
The equipment allows for:
Such examples show that foreign aid can scale the effect of state investments—especially when there is a clear local demand and coordination.
In the second to last week of June 2025 alone, 18 energy companies received over 100 tons of humanitarian equipment.
The list of transferred items included complex power equipment such as power transformers and complete transformer substations, as well as generators, electric motors, cable products, street lighting lamps, and smokestacks.
This equipment is necessary for the rapid restoration of damaged facilities and for increasing the reliability of the energy supply.
The aid came from France, Lithuania, Sweden, and Germany as part of support programs, including from the UNDP, which have been active since 2022. Among the donors were Kvanumbygdens energi ek.for., Trafikverket, GE wind France SAS, AB Ignitis gamyba, and GIZ.
Since the beginning of the full-scale invasion, Ukraine has received 1,851 shipments from 38 countries—totaling over 23,000 tons of technical assistance.
Overall, the Ukraine Energy Support Fund, established in 2022, already unites 33 donors from 22 countries, and the total amount of contributions as of early summer 2025 was €1.2 billion. The largest contribution—$422 million—was allocated by the USA.
However, another source of financing for the recovery of the energy sector is the repayment of debts for electricity produced by renewable energy source (RES) owners.
According to industry associations, debts to “green” electricity producers have reached UAH 22 billion, with the largest underpayments occurring in 2022 (63%) and 2024 (87%).
According to official information, the debt of NPC “Ukrenergo” to the “Guaranteed Buyer” enterprise for “green” electricity currently amounts to UAH 16.3 billion.
Investors have appealed to the National Energy and Utilities Regulatory Commission (NEURC) with a call to:
This dialogue is not just about legal justice. It is about unlocking investment potential. When the sector receives signals that the state acknowledges its obligations and is seeking mechanisms to fulfill them, it acts as a guarantee for new investments.
Ukrainian business has repeatedly demonstrated its responsibility in rebuilding the energy sector, and there is no doubt that the returned funds will be reinvested in new projects.
The scale of the challenge is enormous, but a new system for financing the energy sector is currently being formed, which combines:
This system is still far from ideal. But it is working. And it is thanks to this synergy that Ukraine is preparing for the next autumn-winter season with every chance to endure.
